Westpac follows CBA and increases fixed prices
Westpac today followed CBA’s lead in raising fixed home loan interest rates.
Westpac has increased its 2-, 3-, 4-, and 5-year fixed rates for owner-occupiers who pay principal and interest by 0.10 percent.
Last Friday, CBA increased its 2-, 3- and 4-year fixed rates for owner-occupiers by 0.10 percent and ING increased its fixed rates by 0.05 to 0.20 percent.
Interest rate changes for Westpac home loans
|2 years fixed||1.89%||1.99%||0.10%|
|3 years fixed||1.98%||2.08%||0.10%|
|4 years fixed||2.49%||2.59%||0.10%|
|5 years fixed||2.79%||2.89%||0.10%|
Note: The above rates are for owner-occupiers who pay principal and interest at a flat rate with an annual fee of $ 395 for a loan-to-value ratio of 70% or less.
Interest rate changes in the past month: Lenders who have moved at least one interest rate
Lenders Who Cut
Lenders who have hiked
|Fixed for 1 year||8th||2|
|2 years fixed||5||7th|
|3 years fixed||2||17th|
|4 years fixed||0||12th|
|5 years fixed||0||11|
Source: RateCity.com.au. The dates are from September 20th to October 19th, 2021 inclusive.
Sally Tindall, Research Director at RateCity.com.au, said, “Westpac has followed big four-bank rival CBA in raising fixed rates.”
“These rate hikes suggest that the days of ultra-cheap financing may be numbered,” she said.
“While the RBA insists that the next cash rate hike won’t come before 2024, banks expect funding costs to rise once the borders are reopened and the economy recovers.
“While Westpac’s rate hikes today are relatively small, people in line for a home loan who haven’t locked their rate will understandably be upset.
“Westpac has kept its one- and two-year fixed rates for owner-occupiers paying principal and interest below 2 percent to stay competitive in a market of record refinancing.
“Even though the fixed rate writing is on the wall, the party isn’t over – there are still 154 fixed rates below 2 percent,” she said.
Lowest mortgage rates for owner-occupiers from the big four banks
|Fixed for 1 year||1.99%||1.99%||2.09%||2.04%|
|2 years fixed||2.09%||1.99%||1.99%||1.94%|
|3 years fixed||2.29%||2.08% ”||2.18%||2.04%|
|4 years fixed||2.39%||2.59%||2.49%||2.49%|
|5 years fixed||2.99%||2.89%||2.79%||2.69%|
|variable||2.29%||1.99% for 2 years, then 2.49%||2.69%||2.72%|
Source: RateCity.com.au. *Note: CBA and Westpac rates apply to a loan-to-value ratio of up to 70%.
Lowest prices in the RateCity.com.au database
|Fixed for 1 year||Big bank, bank from us||1.59%|
|2 years fixed||Major bank||1.59%|
|3 years fixed||Community First Credit Union||1.79%|
|4 years fixed||Liberty Loan||2.27%|
|5 years fixed||Liberty Loan||2.27%|
|variable||Reduce home loans||1.77%|
Source: RateCity.com.au Note: The prices apply to owner-occupiers who pay principal and interest. Some LVR and location requirements apply.